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Law No. 6 Of 29 June 1988 Concerning The Legal Status Of Establishments Based On The Principles Of Socialist Workers ' Self-Management And Economic And Financial Self-Administration

Original Language Title:  LEGE nr. 6 din 29 iunie 1988 privind statutul juridic al unităţilor socialiste pe baza principiilor autoconducerii muncitoreşti şi autogestiunii economico-financiare

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LEGE no. 6 6 of 29 June 1988 on the legal status of socialist units based on the principles of self-driving and economic and financial self-management
ISSUER GREAT NATIONAL ASSEMBLY
Published in OFFICIAL BULLETIN no. 36 36 of 4 July 1988



In the conditions of continuous strengthening of the self-management of workers, economic and financial self-management and self-financing, working people, as owners, producers and beneficiaries of all material and spiritual goods of society, bear the full responsibility for the direct and effective management of each economic unit, for the judicious management of the assets of its patrimony. Socialist units, as legal entities, are directly responsible for fulfilling all their obligations, according to the law and contracts concluded, following the superior valorization of the material and money means available to them. Accordingly, under the conditions of diversification and expansion of international trade relations, foreign trade units bear their own and exclusive liability for the execution of obligations assumed by external contracts and realization the rights that come from them. In order to strengthen the legal status of the socialist units and their patrimonial delimitation, including external trade units in contracts concluded with other units or with external partners, The Great National Assembly of the Socialist Republic of Romania adopts this law. + Article 1 In the Socialist Republic of Romania, according to the Constitution and laws of the country, enterprises, plants and other socialist units are organized and operate on the basis of the principles of labor self-management, economic and financial self-management and self-financing. + Article 2 As legal entities, the socialist units have economic and financial autonomy, a stand-alone organization corresponding to their object of activity, self-driving organs, a distinct patrimony on the basis of which they provide the fulfilment of the plan and budget of own revenue and expenditure, established according to the law, the right to conclude contracts and other legal acts within the economic and social relations in which they participate. The acquisition and termination of the quality of legal person are made under the law. The establishment and the name of the legal person shall be established by the + Article 3 In accordance with the principles of working-class self-driving, economic-financial self-management and self-financing, the collectives of working people, as owners, producers and beneficiaries, participate directly in the management and smooth running of the the entire activity in the units they belong to and are obliged to ensure the efficient and judicious management of their heritage. The Labour People's Council is directly responsible for the full realization of the planned physical production and of the other plan indicators, the superior valorisation of the entire technical-productive potential of the unit, obtaining a maximum efficiency that to ensure full coverage of revenue expenditure, the establishment of own funds, participation to a greater extent to the satisfaction of the general needs of the economy. The Executive Office of the Labour People's Council, as the collective manager of the unit's heritage, ensures that the council decisions are fulfilled and is responsible for taking the necessary measures for the use of material funds and financial in compliance with the destinations established by the plan and the revenue and expenditure budget, as well as the legal provisions. + Article 4 The director, general manager or other leader of the socialist unit, as the case may be, shall bear direct responsibility for the management of the entire patrimony of the establishment, applying the necessary measures to carry out the tasks of the plan, discipline at every job, respect for party decisions and the laws of the country and employ unity in relations with individuals and legal entities, as well as in the face of jurisdictional bodies. + Article 5 The Labour People's Council, its executive office, the managing director and the head of the unit, are accountable to the general assembly of working people, the supreme forum of owners and manufacturers, for the management of the the heritage and economic results achieved. + Article 6 In carrying out the activity according to the provisions of the single national economic and social development plan of the country, the socialist units exercise their rights in their own name and fulfill their obligations related to the management on their own responsibility fixed funds and other material and money means of their patrimony. Also, the socialist units respond, within the limit of their own patrimony and under the law, for any damage caused as a result of non-execution or improper execution of their obligations according to the law, contracts or other acts which they have concluded. + Article 7 Based on the principles of working-class self-driving and economic and financial self-management, the plants that conclude foreign trade contracts, enterprises and other foreign trade units, as legal entities, have autonomy in the negotiation and conclusion of external contracts and bear exclusive responsibility, in relations with external partners, for the execution of obligations and the realization of the rights established by these contracts. + Article 8 The plants that conclude contracts of foreign trade, enterprises and other foreign trade units shall be responsible for their obligations from contracts to which they are parties or from other acts and legal acts related to the activity its own foreign trade and international economic cooperation. + Article 9 Socialist units, including foreign trade units, do not respond to the obligations of other units. The state and no state organ do not respond to the obligations of socialist units, including foreign trade units, nor these for the obligations of the state or state bodies. The liability of the state, respectively of the socialist units, for other units, can only be employed if they have expressly assumed this obligation through contracts, agreements or other international agreements. ----------------------